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dssman
join:2003-10-17
| SunRocket Sues Vonage Over Customer List Washington Business Journal - 2:44 PM EDT Thursday, August 23, 2007
by Jeff Clabaugh
Staff Reporter
Internet phone company SunRocket, which ceased operations in July, is suing former rival Vonage, accusing it of stealing SunRocket's customer list.
SunRocket LLC, formed after SunRocket Inc. ceased operations to oversee the sale of its assets, is seeking unspecified damages, calling its customer list "one of its single most valuable remaining assets."
Vienna-based SunRocket claims that, after talks to be acquired by Vonage Holdings Corp. broke down, Vonage (NYSE: VG) wrongfully acquired its customer list and contacted some of those customers seeking their business.
SunRocket has "sustained and continues to sustain immediate and irreparable harm and injury... and exposure to customer suits," the company said in its complaint.
"We believe the suit lacks merit," says Vonage spokesman Charlie Sahner. "We obtained a VoIP subscriber list through an established marketing list broker and were assured that the data was legally obtained and could be used without violating anyone's proprietary rights."
Earlier this month, SunRocket issued a statement denying rumors that it had sold its customer list after complaints from former customers.
SunRocket, founded in 2004, had 220,000 subscribers at the time it shut down. | |
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prestonlewis
Premium,MVM
join:2003-04-13
Sacramento, CA
 ·VoiceStick
| Re: SunRocket Sues Vonage Over Customer List Interesting. I had read that Sherwood Associates, SR's bankruptcy court appointed receiver had sold Vonage SR's customer list. What I can't understand is:
1. How did a "marketing" company get the list in the first place if SR was so committed to keeping it's lists private.
2. How can SR sue in court since the receiver, Sherwood Associates, is basically SR's master at this point. Perhaps Sherwood is sueing on behalf of SR. | |
| dvpatel
join:2007-08-11
Pineville, NC
| Does this mean that we can also sue SunRocket LLC for stealing our money? Though I hate the fact tht Vonage knew I was a SR Customer, I think some one at SR sold the list for money and now they are filing a frivlrous (sp), suit. They think we all were born yesterday I suppose. | |
| | | 
JoeG4
join:2001-12-16
945941 | LMAO
It's the pot calling the kettle black. | |
| | 
dmolavi
Premium
join:2005-04-11
Sewell, NJ
 ·Verizon FIOS
 ·Comcast
·ViaTalk
| Re: SunRocket Sues Vonage Over Customer List said by JoeG4  :LMAO It's the pot calling the kettle black. amen to that. this whole shutdown has been one giant clusterfuck from the minute it started. goodbye sunrocket, inc. hello sunrocket, llc. throw in sherwood, teleblend, etc in to the mix. what a party.
i see this as one of two things: sunrocket (inc or llc) failed to protect our info and vonage got it from a broker, or sunrocket (inc or llc) sold it to the broker. either way, sunrocket (inc or llc) failed to uphold their privacy policy.
i recall getting a letter from vonage a few weeks ago w/ my name stating that as an ex-sr customer, i could get a month free or something. same mis-spelled name on the vonage mailing as on my SR account. hmmm....
screw 'em both, i say.
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| | DMS1
join:2005-04-06
Carrollton, TX
| How can SunRocket state that they have "sustained and continues to sustain immediate and irreparable harm and injury... and exposure to customer suits"?
In case they hadn't noticed, they are no longer trading. There isn't anything to damage.
Reading between the lines, it sounds like some remnant of SunRocket is trying to use a prior confidentiality agreement to get some money out of Vonage. | |
| | wnyzfinest
join:2007-07-17
West New York, NJ | Re: SunRocket Sues Vonage Over Customer List they are just trying to get any pocket change.
Sunrocket LLC?
interesting | |
| | undef
join:2007-07-24
Schenectady, NY
| said by DMS1 :How can SunRocket state that they have "sustained and continues to sustain immediate and irreparable harm and injury... and exposure to customer suits"? Actually, in several states there is precedence for lawsuits against a business for violation of its posted policies. Sunrocket's policy stated that they would not sell or trade user information....
In fact, this is a bit of a big issue right now, as customer lists and user data are usually one of the biggest assets remaining in a bankruptcy case, but businesses that have stated they will not sell or trade such lists cannot do so even in bankruptcy.
Former Attorney General of New York, and current Governor of the same, Elliot Spitzer, is responsible for a lot of the current precedence in cases like these. If anyone is interested, a little bit of Googling will answer all... | |
| | | DMS1
join:2005-04-06
Carrollton, TX
| Re: SunRocket Sues Vonage Over Customer List said by undef :Actually, in several states there is precedence for lawsuits against a business for violation of its posted policies. Sunrocket's policy stated that they would not sell or trade user information.... In fact, this is a bit of a big issue right now, as customer lists and user data are usually one of the biggest assets remaining in a bankruptcy case, but businesses that have stated they will not sell or trade such lists cannot do so even in bankruptcy. Former Attorney General of New York, and current Governor of the same, Elliot Spitzer, is responsible for a lot of the current precedence in cases like these. If anyone is interested, a little bit of Googling will answer all... I can see your point, but to me it seems there are two possibilities here:
1. The data was sold to Vonage, in which case it is SunRocket (or their successors) that have broken their own rules and they can't try and blame Vonage, or,
2. Vonage obtained the data illegally and SunRocket couldn't be held liable for the inadvertent breech of their terms. In this case one would have thought that it would be a criminal case against Vonage and not a civil matter.
Personally, I think SunRocket are mega-pissed that the potential deal with Vonage fell through and they are trying to exact revenge. A desperate attempt by desperate people. | |
| | | | | SR_USER
join:2005-05-21
Fairfax, VA | Doesn't matter who, but someone sold my damn info!! | |
| | DMS1
join:2005-04-06
Carrollton, TX
| Re: SunRocket Sues Vonage Over Customer List said by SR_USER :Doesn't matter who, but someone sold my damn info!! No - someone "obtained" your damn info. From the article, it seems the two parties disagree on whether it was sold.
If it was sold then it's unlikely the receiving party (Vonage) could be held responsible unless they knew it was stolen data (used notes under the toilet door etc.). However, if, as SunRocket claim, Vonage stole the data then this is a different matter. | |
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prestonlewis
Premium,MVM
join:2003-04-13
Sacramento, CA
·VoiceStick
| This whole list sale thing is confusing. When a company (SR) files for bankrupty, the bankruptcy court takes over possession in the form of a receiver (Sherwood Associates). Leases, contracts, agreements, etc. are suspended unless the bankruptcy court decides otherwise. I would think that SR's TOS and privacy promises would be subject to the whim of the bankruptcy court since SR really can't make any decisions for itself any longer. How can SR even perform a lawsuit without the permission of the bankruptcy court or Sherwood Associates? The whole lawsuit thing sounds fishy. | |
| | 
Dewey Cheatem
| Re: SunRocket Sues Vonage Over Customer List No Bankruptcy Court proceeding has been filed.
An Assignment for the Benefit of Creditors is an "unofficial" bankruptcy matter where the liquidator tries to resolve the claims outside of an official court proceeding.
Even if the matter was a case filed in bankruptcy court, a procedure called an "adversary action" could have been used to file a claim by "the debtor" against another party.
Speculation: Probably the reason it was done this way, is because the venture capitalists who funded SR can retain some control over the matter and get paid back first out of the liquidation proceeds.
Speculation: Someone at the new entity, Sunrocket LLC and/or Teleblend probably figured they could shake out some $$ from Vonage.
This likely was not done to benefit the individual SR consumers/account holders but the investors. | |
| | | bellhater
Premium
join:2003-10-08
canada
| Re: SunRocket Sues Vonage Over Customer List someone should start a "AFTER" suit against SR for allowing their list to leave their hands. After looking over their tos and privacy statement, looks as if SR should have a class action against them, and allow Vonages lawyers to be the head of the suit. | |
| | | Fraidman
join:2007-08-09
Aurora, CO | Dewey Cheatem ? I take it you're a Three Stooges fan ? | |
|
VoIPdevotee
| There is an article about this in today's Washington Post that expands a bit on the topic. I especially like the last couple of paragraphs:
Sherwood said many customers think it has released the list to Vonage.
"Customers are concerned that Sherwood is selling their personal information to obtain capital in the SunRocket liquidation," which could expose the company to customer lawsuits, SunRocket said in the complaint. Noooooo.... you THINK? Anyway, just thought I'd point this out to all the nay-sayers who seem to feel that a customer lawsuit wouldn't go anywhere. That may well be true, but then again, if this article is accurate then it appears that Sherwood Partners is concerned about the possibility of such a lawsuit, and they don't want former customers to have any (additional??) ammunition. | |
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